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FentonCrackshell said:

Looks like MS is throwing in the white flag to me. And Sony won’t play with them so they’re going with Nintendo. Soon there won’t be an Xbox console. But if this avenue is profitable for MS then why not?

I think MS is getting things ready in the event that the XB2 fails against the PS5. Considering they are announcing thisn now, I don't think they believe things are looking too bright next gen.

Signalstar said: 
Nintendo would be foolish to allow such a thing to occur.

Agreed. That's just too much power/control and, more than likely, extra revenue to just give away. 

Also, do they think Google and Apple are just going to get rid of their hold on the games sold in their stores?